The Goldman Sachs Group Cuts Best Buy (NYSE:BBY) Price Target to $76.00

Best Buy (NYSE:BBY) had its price target trimmed by The Goldman Sachs Group from $93.00 to $76.00 in a report issued on Wednesday, MarketBeat.com reports. The firm currently has a buy rating on the technology retailer’s stock.

Several other research analysts have also recently commented on BBY. Jefferies Financial Group lowered their price target on shares of Best Buy from $94.00 to $89.00 and set a “buy” rating for the company in a report on Monday, February 9th. Daiwa Securities Group increased their target price on Best Buy from $76.00 to $80.00 and gave the company a “neutral” rating in a report on Friday, November 28th. HSBC decreased their price target on Best Buy from $96.00 to $85.00 in a report on Thursday, February 26th. Weiss Ratings reiterated a “hold (c)” rating on shares of Best Buy in a report on Wednesday, January 21st. Finally, Truist Financial lowered their price target on Best Buy from $73.00 to $66.00 and set a “hold” rating for the company in a report on Tuesday. Nine investment analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus price target of $76.20.

Best Buy Stock Performance

Shares of BBY opened at $66.48 on Wednesday. Best Buy has a 1 year low of $54.99 and a 1 year high of $84.99. The stock has a market capitalization of $13.90 billion, a PE ratio of 13.19, a PEG ratio of 1.63 and a beta of 1.46. The company has a debt-to-equity ratio of 0.39, a quick ratio of 0.26 and a current ratio of 1.11. The stock has a 50-day simple moving average of $66.63 and a 200-day simple moving average of $72.77.

Best Buy (NYSE:BBY) last released its earnings results on Tuesday, March 3rd. The technology retailer reported $2.61 earnings per share for the quarter, topping analysts’ consensus estimates of $2.48 by $0.13. The firm had revenue of $13.81 billion for the quarter, compared to analyst estimates of $13.96 billion. Best Buy had a net margin of 2.56% and a return on equity of 49.17%. The business’s quarterly revenue was down 1.0% compared to the same quarter last year. During the same period in the prior year, the firm earned $2.58 earnings per share. Best Buy has set its FY 2027 guidance at 6.300-6.600 EPS. On average, analysts predict that Best Buy will post 6.18 earnings per share for the current fiscal year.

Best Buy Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, April 14th. Stockholders of record on Tuesday, March 24th will be issued a $0.96 dividend. This represents a $3.84 annualized dividend and a dividend yield of 5.8%. The ex-dividend date of this dividend is Tuesday, March 24th. This is an increase from Best Buy’s previous quarterly dividend of $0.95. Best Buy’s dividend payout ratio (DPR) is presently 75.40%.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the company. Woodline Partners LP increased its position in Best Buy by 40.1% during the first quarter. Woodline Partners LP now owns 16,436 shares of the technology retailer’s stock worth $1,210,000 after buying an additional 4,701 shares during the period. State of Michigan Retirement System boosted its holdings in shares of Best Buy by 2.0% in the second quarter. State of Michigan Retirement System now owns 73,103 shares of the technology retailer’s stock valued at $4,907,000 after acquiring an additional 1,400 shares during the period. Bank of Montreal Can boosted its holdings in shares of Best Buy by 110.4% in the second quarter. Bank of Montreal Can now owns 337,776 shares of the technology retailer’s stock valued at $22,675,000 after acquiring an additional 177,261 shares during the period. Freestone Capital Holdings LLC grew its position in shares of Best Buy by 32.5% during the second quarter. Freestone Capital Holdings LLC now owns 4,509 shares of the technology retailer’s stock worth $303,000 after acquiring an additional 1,107 shares during the last quarter. Finally, Resona Asset Management Co. Ltd. increased its holdings in shares of Best Buy by 7.7% in the 2nd quarter. Resona Asset Management Co. Ltd. now owns 73,804 shares of the technology retailer’s stock valued at $4,966,000 after acquiring an additional 5,270 shares during the period. Hedge funds and other institutional investors own 80.96% of the company’s stock.

About Best Buy

Best Buy Co, Inc is a leading North American consumer electronics retailer that sells a broad range of products including computers, mobile phones, televisions and home theater systems, major appliances, smart-home devices, gaming hardware and software, wearables and related accessories. The company operates through a mix of large-format stores, smaller specialty locations and an e-commerce platform, offering national and private-brand merchandise from major consumer-technology manufacturers as well as third-party sellers.

Beyond product retailing, Best Buy provides a suite of services aimed at installation, repair and ongoing technical support.